Tag Archives: pleading standards

Addressing the Use of Confidential Witnesses in Securities Litigation

As a result of the PSLRA’s heightened pleading standard and pre-dismissal motion discovery bar, as well as the requirements of cases such as Tellabs, plaintiffs in liability suits under the federal securities laws frequently rely on confidential witnesses. This practice has led to  the “confidential witness problem” in securities litigation. In a September 25, 2017 … Continue Reading

Failed Bank-Related Securities Lawsuits: A Dismissal and A Settlement

One of the ways in which the current wave of bank failures is different from the failures during the S&L crisis is that this time around, by comparison to that prior period, a number of the bank closures have been accompanied by shareholder lawsuits brought  against the former directors and officers of the failed institutions. … Continue Reading

Ninth Circuit Reverses Matrixx Securities Suit Dismissal, Concludes Twombley and Tellabs Satisfied.

In an October 28, 2009 opinion (here) in a case in which the Ninth Circuit found the plaintiffs’ allegations met the heightened pleading standards of Twombley and Tellabs, the appellate court reversed the district court’s dismissal of the plaintiffs’ complaint in the Matrixx Initiatives securities class action lawsuit. The decision is significant not only because … Continue Reading